The main idea behind Weekly Answer Writing Challenges is to
make your exam preparation more result oriented. For this exam (UPSC Civil
Services), just ‘reading’ is not enough. The most advantageous part of this
writing exercise is to make your answer visible to everyone, someone may correct
you if they find a mistake in your answer plus it must be also supported by our
experts , you may see others answers also. It is free and definitely will
improve your writing ability and marks in your final examination. Here all
topics from syllabus will be covered.

Q1. "Good economics and bad
politics cannot coexist in a sound budgetary process." Discuss this
statement in the context of the developmental challenges in countries
experiencing competitive politics."

Good economics have to be supported by sound politics so that budgetary process
may become manifestation of the combination so as to ensure effective and
planned execution. Socialist China is an ideal example of good economics with
minimum bad politics. China is it because they do not have competitive politics
so they take less populist measures. The bad politics neither considers World
Bank directives nor making a globally competitive economy.

In
India, the principle of financial administration is to comply with the will of
the legislature which is constituted with the elected representatives who
represent people of the country.

The preparation of budget is allocated to each of the
respective ministries to do a review of the previous year’s expenditure, current
year’s sanction along with the revised estimates for current year and hence
arrive at a future figure. The budget reflects the government policies and
programmes in order to meet goals of development. The budget is then presented
in parliament to be approved by all members. This is followed by discussions and
voting on demands, grants, appropriation bill and finance bill. The budget is
further executed by the respective ministries. Each ministry have accounting
officers that compile accounts of all expenditures that have been undertaken and
finally it undergoes an independent audit by the CAG.

Bad or inefficient politics always leads to discontent and
chaos among general masses and people take no time to building an opinion
regarding change in political power. Delhi Assembly elections result in 2015 ,in
which a newly rising party capitalized over widespread dissatisfication of
because of corrupt and inefficient practice of ruling govt, is the best example
.

Bad politics is one that can interfere in the process of
meeting economic goals. An example is when the UPA Government was trying to pass
the Food Security Ordinance it faced severe opposition from the parliamentarians
on grounds of increasing the fiscal deficit beyond the benchmark since it would
lead to expenditures over and above the budgeted amounts.

Another example of bad politics is where the ruling
government routes the allocated money to meet their personal aspirations and
hence lead to high expenditures, yet not meeting the developmental goals e.g
indulgence in Fodder Scam and embezzlement of close to 940 crores. In a
competitive political situation like in our country, the opposition party would
not leave such an event unnoticed and will ensure that the responsible minister
gets due punishment.

The objectives of good economics can be sanctified with an equally stable
political environment which can ratify the budgetary process and ensure its
effective execution.